SUBJECT:Rules and Procedures Governing Annotations of Notices of Coverage (NOCs) on Titles of Lands Covered under RA 6657, as amended

PREFATORY STATEMENT

Pursuant to the pertinent provisions of Republic Act (R.A.) No. 6657, as amended, certain transactions involving privately-owned agricultural landholdings are prohibited unless cleared by the Department of Agrarian Reform (DAR). In spite of this prohibition, said transactions without the required DAR clearance reportedly still take place. In some instances, these transactions cause undue delay in, or the suspension of the implementation of, the Comprehensive Agrarian Reform Program (CARP) over particular landholdings. It is therefore necessary that safeguards should be put in place to prevent such illegal transactions.

SECTION 1.Annotation of Coverage. — In order to warn potential buyers and other persons-in-interest that a particular agricultural landholding is the subject of acquisition and distribution by the DAR, the Register of Deeds (ROD) shall officially annotate, as an adverse claim, the fact of coverage on the original copy of the Certificate of Title of the said land. The annotation shall not be cancelled, except upon;

i.the official request of the Provincial Agrarian Reform Officer (PARO) of the DAR for the cancellation thereof coupled with a request to cancel the same Certificate of Title and the issuance and registration of a new Certificate of Title in the name of the Republic of the Philippines (RP Title);

ii.the directive of the Regional Director, the Secretary of Agrarian Reform, the Office of the President of the Philippines, or the proper courts, in a final and executory Order or a Writ of Execution, excluding or exempting the land from CARP coverage or declaring the coverage null and void; or

iii.the directive of the Secretary of Agrarian Reform, the Office of the President of the Philippines, or the proper courts, in a final and executory Conversion Order.

SECTION 2.Request for Annotation. — The PARO shall officially request the ROD to annotate the fact of coverage as an adverse claim on the Certificate of Title, at the same time that he generates the Notice of Coverage (NOC) or executes the Letter of Acceptance of the Voluntary Offer to Sell. The PARO or any DAR personnel authorized by him shall personally submit the said request, with the proof of service of the NOC or the Letter of Acceptance attached thereto, to the ROD within three (3) days from the proper service of the NOC/Letter of Acceptance to the landowner of the landholding.

For easier reference of the ROD, the corresponding form of such official request is hereto attached as Annex "A" hereof. The form of the annotation of the inscription of the NOC is likewise hereto attached as Annex "B" hereof.

SECTION 3.Request for Cancellation of the Annotation. — Within ten (10) days from receipt from the Land Bank of the Philippines of a copy of the Certificate of deposit (COD), the PARO or any DAR personnel authorized by him shall immediately present the official request to cancel the annotation of the fact of coverage, together with a request for the cancellation of the title of the landowner and the issuance and registration of the RP Title, as well as the COD and the Approved Survey Plan (ASP) to the ROD.

For easier reference of the ROD, the corresponding form of such official request, which shall be embodied in the same instrument as the request for the cancellation of the title of the landowner and the issuance and registration of the RP Title, is hereto attached as Annex "C" hereof.

The PARO or any DAR personnel authorized by him shall also personally present the official request to cancel the annotation of the fact of coverage upon receipt of a directive to do so pursuant to a final and executory order of exemption or exclusion of the landholding, or the annulment of the coverage from the Regional Director, Secretary of DAR, Office of the President, or the proper courts, as the case may be. This is without prejudice to the right of the winning party in the same case to request for the cancellation of the annotation. For easier reference of the ROD, the corresponding form of such request based on this ground is hereto attached as Annex "D" hereof.

The corresponding form for the annotation of the cancellation of the previous annotation of the NOC is likewise hereto attached as Annex "E" hereof.

SECTION 4.Reporting and Monitoring. — All PAROs shall submit to the BLAD, at the end of each month, a list of Certificates of Title on which annotations of the fact of coverage were made or cancelled.

[ ] Letter-Offer of _____________ which the DAR accepted on __________

[ ] Notice of Coverage issued by the DAR which was served on ___________

the subject landholding is, for all intents and purposes, deemed covered for acquisition and distribution pursuant to the Comprehensive Agrarian Reform Program.

It is therefore requested that the Register of Deeds officially annotate on the title the fact of coverage.

Very truly yours,

________________________________

Provincial Agrarian Reform Officer
(Signature over printed name)

Copy Distribution

Original - Register of Deeds

Duplicate - LBP

Triplicate - DARPO

Quadruplicate - DARMO

ANNEX "B"

If through Voluntary Offer to Sell:

Entry No.____________— This land was VOLUNTARILY OFFERED FOR SALE to the DAR by ____________________________________, which MR/MS. ____________________________________, Provincial Agrarian Reform Officer for the Province of _______________ accepted on _____________, 20___.

Date of Instrument: ____________, 20____ (Date of letter of acceptance)Date of Inscription: ____________, 20____ at __________________.

The Land Bank of the Philippines (LBP) has already deposited the compensation proceeds in the name of the abovementioned landowner. In view thereof and in accordance with pertinent guidelines, this Office is attaching hereto a certified copy of the Certificate of Deposit issued by the LBP and a certified copy of the segregation and subdivision plans and corresponding technical description/s of the property covered approved by the Department of Environment and Natural Resources (DENR).

It is therefore requested that the Register of Deeds: (check all pertinent boxes)

[ ] Cancel the annotation of coverage which was annotated upon the request of this Office

[ ] Issue the corresponding Transfer Certificate of Title (TCT) / Original Certificate of Title (OCT) in the name of the Republic of the Philippines in accordance with Section 16 of RA No. 6657, as amended

[ ] Issue the corresponding title in the name of the landowner/s for the retained area, if applicable

[ ] annulling / declaring null and void the coverage of the landholding

[ ] exempting/excluding the landholding from coverage of the Comprehensive Agrarian Reform Program

has become final and executory as of __________________. Attached hereto is a certified copy of the abovementioned Order and its corresponding Certificate of Finality.

It is therefore requested that the Register of Deeds cancel the annotation of coverage under Entry No. ____________, which was annotated upon the request of this Office.

Very truly yours,

________________________________

Provincial Agrarian Reform Officer
(Signature over printed name)

Copy Distribution

Original - Register of Deeds

Duplicate - LBP

Triplicate - DARPO

Quadruplicate - DARMO

ANNEX "E"

Entry No. ____________ CANCELLATION OF NOTICE OF COVERAGE: The Notice of Coverage appearing on the face of this title under Entry No.____________ is hereby cancelled in view of the request of MR./MS. ____________________________________, Provincial Agrarian Reform Officer for the Province of ________________________ dated ____________________.

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